The latest update was given by the sources that the Japanese Sony Group is planning to acquire OTT platform Disney+Hotstar. This news came after an extensive delay in the merger of Sony and Zee. Amid an expected merger of Sony and Zee, Sony Pictures Entertainment has started preparing to acquire Walt Disney’s India market. Reportedly, earlier it was said that Jio was all set to acquire Disney+Hotstar but now the sources are saying that the Japanese Sony Group is willing to acquire Disney+Hotstar. In a shift of tide, the news of Sony acquiring Disney+Hotstar has taken over the internet by storm. We have poured in further details of this possible development, which you should know. Swipe down the page and take a look below.
Earlier it was stated that the Sony Group was all set to form a mega-merger with Zee Entertainment to take over the Indian Sporting market. Everyone was expecting an announcement regarding the merger of Sony and Zee but now rumors have started circling that Sony is in talks with Hotstar. Sources claimed that this is a fallback plan for Sony should the mega-merger with Zee break off or suffer unexpected barriers.
A person familiar with the development told Mint, “The merger with Zee was in the works for almost two years and has seen its fair share of hiccups. SPE’s parent in Japan is getting frustrated with the delay and has asked to be prepared with a Plan B,” It is speculated that the step to acquire Disney+Hotstar is being taken by Sony after a frustration development due to huge delay with the Zee merger. Now it has been more than two years since Sony partnered with Zee Entertainment Enterprises but it has not materialized yet.
The Vice president of Elara Capital Karan Taurani said in case it gets pushed beyond December, there is a high chance that Sony may start talks with Disney after that regulatory approvals like CCI, and NCLT may take over a year. CCI may not provide clearance or ask to shut down channels, as Sony/Disney will have a much larger TV ad market share of 45 percent. Kindly note that the Zee-Sony TV ad market share is 25 percent. As Sony does not want any further delay it may seek out a different alternative to merge. Not to mention, Disney+Hotstar is one of the leading OTT platforms and has a huge viewer base in India. Stay tuned.